Danish mobile payment startup MobilePay enters the Finnish market

1 March 2018

MobilePay, a provider of credit card payment services based on mobile devices, owned by Danske Bank, is pushing its way into the Finnish market through establishing an independent subsidiary and entering into a deal with S Group and its S-Bank. Under the terms of the deal customers in Finland will be able to use mobile payment functionality to pay for purchases made at nearly a thousand grocery stores across the country both instore and online.

Finnish customers will be able to link their credit cards with the account in MobilePay application and in addition to making mobile transactions they will be collecting bonus points, electronic cash and warranty receipts.

Jari Annala, a chairman at S-Bank, noted that first of all MobilePay aims to reshape the payment infrastructure of grocery stores serviced by S Group in particular. At further stages MobilePay and S-Bank will be expanding the list of participating merchants and stores to include ABC stations and restaurants.

MobilePay has gained high popularity among consumers in the market of Denmark but failed to achieve the same in Norway given tough competition staged by Vipps. To keep its positions in the Finnish sector MobilePay establishes an independent subsidiary for operating as a neutral partner for banks in Finland and other financial institutions in a move to reach more partners.